How to Pay Off a 30-Year Mortgage in 77 Months

STOP letting the bank profit from your 30-Year Mortgage! Discover the Accelerated Payoff Strategy that uses a Line of Credit to completely change how you manage your cash flow, slashing your repayment time from decades to under 10 years. Learn the simple "cash flow hack" to eliminate massive interest and become debt-free faster than you ever thought possible. Christy Vann teaches through her work on Velocity Banking and accelerated mortgage payoff strategies, a way to collapse a 30-year mortgage into just 77 months—without refinancing!

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Transcript

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you know Lord I don't know how I'll ever get out of this debt I had become a single parent and it just seemed impossible in the culture where I am it's a poverty mentality we're taught to get the mortgage we're taught to get the car loan we're taught to get the student loan but when you realize that there's different tools at the bank when we teach the people how these different tools work you're going to get out of debt welcome back everyone I'm Tim Jones with foreclosure.com Today we're looking at how homeowners can dramatically shorten a 30 year mortgage not by refinancing but by changing how they manage cash flow a traditional mortgage is front loaded interest costing tens or even hundreds of thousands of dollars over time but by using a line of credit and making a strategic lump sum payments some homeowners have paid off a 30 year loan in just 77 months to break down how it works I'm joined by Christy Van who teaches these accelerated payoff strategies Christy thank you for joining us today thank you for having me oh we're glad to have you so let's jump right in okay okay okay great so what inspired you to start teaching homeowners how to use line of credits to pay off their mortgage faster I think that it was just based on my experience to be honest I am not a financial advisor I I have just had a lot of experience with finances I really struggled my whole adult life up until I Learned this uh paycheck to paycheck even negative cash flows um so I think that you know it was literally in a moment of prayer that I was like you know Lord I don't know how I'll ever get out of this debt I had become a single parent and it just seemed impossible um to look at you know a load of debt say 200,000 and think how in the world am I ever going to do this this is a joke because in the culture where I am it's a poverty mentality so everybody thinks they're always going to have house payments they're always going to have car payments and there's no way out of that um but you know literally through that prayer I started getting wisdom handed to me about how to use a line of credit and what the line of credit was so basically I I have just been through life experience and I decided one day I had to start teaching people about this because nobody knows nobody's aware in America until you know now they're getting some education through the channel so that's literally where I started from just basic experience experience well um you know um that that's that's definitely great to have I mean you're not gonna understand something until you go through it yourself sometimes right so exactly well I'm excited to talk to you about today's topic so can you briefly explain how you how your method helps people save thousands of dollars over years thousands in interest compared to like a traditional mortgage so what the American people and people all over the world do not understand is that we have different tools at the bank uh we're taught to get the mortgage we're taught to get the car loan we're taught to get the student loan but when you realize that there's different tools at the bank meaning there is a loan and then there is a line I totally two different things um so you're talking about taking um something that offers you monthly payments they that's what the amortization schedule does for the loan is it goes ahead and sets up your monthly payments so as long as you make those monthly payments uh you're a you're a good boy or you're a good girl because you know they act like uh making that monthly payment builds your credit uh is going to get you out of debt well not to say that that's a lie from the devil but that's a lie from the devil um the point is for the amortization schedule is to go ahead and calculate the interest in your monthly payment so people think that you know when they're making their payment that they're paying down their debt and that's just not true the monthly payment is set up to make sure you pay your interest and what the interest means in a mortgage is that you're buying the bank a house first and then you get to pay for your house you know halfway point being about 17 years later that's not fair so when you look at the loan on that amortization schedule and you compare it to a line which is a revolving line meaning that you can put all the income into it that you want and then you can pull out what you need that's open ended right so the the point is is when we teach the people how these different tools work you're going to get out of debt you're going to get out of debt um usually in a seven to nine year period compared to the 30 year that's great um so who is this strategy best suited for is this a home owners investors or or both it doesn't matter anybody can use it okay um what would be the most common misconceptions people have about using a line of credit uh fear so the fear of and you know it may have been inbred in us on purpose uh because the loan is what makes the bank so much money uh the line the misconception is is that well if I have available credit then I'm going to blow it on things I don't need and I think that you know once you're an adult and you decide to adult with your finances we're not you know this spending mentality that comes from lack because you're afraid you're afraid well I'm not going to have any money left over so I need to buy this now I think that that fear tactic keeps people in a a prison that says okay well I'm never going to have enough money to pay this so I'm just gonna go ahead and you know buy it on credit yeah um the I think that's a a misconception in the human psyche especially here in America because you're kind of always looking at your finances as I'm never going to be able to afford it so I'm going to put it on credit and get those monthly payments so when people you know I deal with especially people that have the he lock or are talking about getting the he lock which is a home equity line of credit uh they kind of freeze cause they're like that's my asset that's my home that's my equity I I can't use that and I'm like you're already tied up for 30 years in your equity let's get out of that so you know it I'm not sure the misconception being that we've been sold the loan loans are everywhere we see ads about you know the mortgages yeah oh you're gonna get this low low rate of 6% it's so laughable once you realize how the amortization schedule is set up and how much faster you can get out of debt if you just use the right tool at the bank no that's great yeah when I was watching your video I mean it's a it's a something that me and my wife are like hmm this this makes a lot of sense how do we yeah how do we get this going so that being said what first steps would you recommend for someone ready to start paying off their mortgage with this shortened time frame you know the very first thing that you have to do is know your numbers you have to know how much income is coming in every month uh how much debt you have what your monthly payments are what your interest rates are and you need to know what your living expenses are are you giving if you are how much are you giving away every month are you uh you know doing any extra birthday parties stuff like that things that we have real numbers I think that was the hardest part for me in the beginning was because I was afraid to look at my numbers because I knew that I was struggling to make it to the next paycheck so to sit down and actually get to know your numbers that's kind of scary but when you realize that you are going to be able to set up a strategy with your numbers that takes away that fear so the idea is very first step know every single thing that's going on with your finances get all of that nailed down and then let's start looking at what options that you have a lot of people you know are in trouble with the bank they're in trouble with their credit scores maybe they've had late payments collections um you know maybe their DTI is too high they don't have a home you know and they think they can't get a line of credit there are personal lines of credit but if you can't get approved at the bank then you feel like you're stuck um that's where the Money Max program comes in and it doesn't care what your credit score is it's still going to work with your cash flow and pay off that mortgage and again the 7 to 9 year period that's fantastic well um we'll definitely make sure to leave a link um in the description below to your to the full video so they can uh get even more details on how on how the strategy works um so this is a little bit off topic but it's still on topic but some lenders and policymakers have begun discussing a 50 year mortgage to make home ownership more affordable you know what is your perspective on this approach and how do you think this might impact homeowners in the long run I think it's laughable ha ha because when you know the 30 year and you know that you can get out of it so much faster uh why it's laughable is because when you run that amortization schedule and let's say and I've been there I've been there there was a time when I would have heard about the 50 year and I would have been jumping up and down in excitement because I was going to you know lower my monthly payments that's the idea right so save a few hundred in the beginning yeah right and if you extend it out then you're going to get to lower your monthly payments well I did some numbers based on a 350 thousand dollar mortgage which is kind of an below average right now for what people are paying for a home I went ahead and run it and I found that the 30 year comparing the 30 year payments to the 50 year payments you're going to cut back about $300 per month okay okay which some people you know you've got a 25 dollar mortgage uh wow you know anything helps yeah but what we don't see is you're going to pay almost triple the interest that you would on a 30 year mortgage okay what that means is is that if I have $300 left less a month that I'm paying on the mortgage it didn't lessen my interest I'm now paying 300 less on the actual amount that I borrowed so when you look at it like oh I'm gonna get lower payments so I'm gonna you know I'm gonna be able to afford my payments you just extended 20 more years just interest yeah so when you look at a 30 year most people are paying two decades in interest only two decades and more but the 50 year you've now gone to four decades of interest that you can avoid you can avoid this so simply and you know it people just need to get educated once you understand that it's not your fault that you're in debt the way you are that you're paycheck to paycheck the way you are once you take that wait a minute you mean I'm just not stupid with my spending no no you've been educated to take the wrong tools and one little tweak to your finances could completely change your life financially and the peace is overwhelming that comes in when you realize you have a strategy and you're getting out of debt it's so it's just a beautiful feeling that's wonderful and I'm sure it makes you feel good to help all these people get out of debt um you know at the very first I thought it was about you know just showing people what I had Learned um it it really didn't occur to me how fulfilling it was going to be until you know now several years down the road I'm getting all this feedback and I'm getting I mean the the comments on YouTube literally I get me jumping every morning because you know so many thank you so many testimonies of what they've been able to do with their debt and get rid of it I so it has been more than I ever dreamed as far as with people getting free and them sharing how they're getting free I just think that's so encouraging not just here in the US all over the world that's fantastic well this is incredible it is fantastic yeah it is fantastic hahaha it's fantastic that's right yeah now this is incredible thank you so much for sharing your your your um this education with us I think everybody will find it very valuable I know I do myself and um I'm in the I'm in the uh process of practicing what you're teaching so I'll let I'll get back to you with how it's going okay okay alright um if you found this uh video helpful please like and subscribe to our channel it helps the YouTube algorithm show more people this kind of content um if you're in the market and you're looking for local distressed real estate properties make sure to sign up for our free foreclosure email alerts on foreclosure.com until next time I'm Tim Jones and thank you for watching